Free of charge

Barley: Prospects are for a lower output next season

January 5, 2018 at 7:08 PM , Starry Night Ltd.
Play report as audio

SOFIA. Tough regional competition in recent years and lower prices pushed local farmers to cultivate less land. Foreign market positions seem not endangered by the cut.

Barley: farmers’ response to market forces

BULGARIA. Before the start of harvest 2017-18, fallen-through area of barley actually amounted to the insignificant 85 ha across all regions within the country, according to local authorities. However, even if expected fallen-through acreages increased by a few times till the start of the upcoming harvest, it would not be so much Nature, as it will be man-made drawn decisions that will affect output 2017-18. According to the Ministry of Agriculture, estimates of sowed land of barley came to 109,800 ha, which on a year-to-year basis lags behind by 16.6%.

Farmers, as if trying to circumvent the workings on the demand side of the market and thus trying to place themselves a little higher on the vertical axis of a supply-demand schedule for the upcoming season, strategically decreased planted acreages for next year. Whether the optimism of having lower quantities, leading to higher prices, will remain intact remains to be seen, since the demand of locally grown barley does not exist in a vacuum, but is instead part of a broader international market, occupied by other regional market players. The approach will be tested at the beginning of harvest 2018-19.

Supposedly, the expected lower output will not lead to a loss in foreign markets

In recent years, the country has seen a decrease in its exports, and the substantial cut in the cultivation of barley for next season seems a natural response to what seems to become by now a traditional trend. The analysis behind the substantial reduction of planted acreages for the upcoming season must be based on the fact that local market players will not suffer substantial losses in foreign markets while domestic consumption could well be covered by domestic production alone. By the end of week 51 of 2017, local market players exported 37% of aggregate output this year, which came to a total of 633,393 mt, to EU markets while only 4.38% to markets outside the EU. The country could not compete for foreign markets outside the Union with regional market players such as Ukraine, for instance.

View related articles

Go to the News Overview
Organic Commodities
Nov 4, 2026
ASUNCIÓN. Europe's high quality standards will limit supplies of organic chia seeds.
Grains
Oct 28, 2026
KYIV/DALIAN. The millet crop in Ukraine is recording significantly higher yields than last year. The Chinese market is showing a cautious response. Shipments to the EU from third countries have fallen by 40%.
Grains
Oct 28, 2026
KYIV/DALIAN. So far this year, Ukraine has harvested 28% less buckwheat than at this time last year. Other countries are also reporting lower crops. Meanwhile, EU countries have increased their imports by 10%.
Grains
Sep 23, 2026
KYIV/DALIAN. Ukrainian farmers are achieving significantly higher millet yields than last year. On the Chinese market, prices have little room to fall. EU imports have declined by 60% this season.